HC Deb 18 January 1994 vol 235 c489W
Mrs. Ray Michie

To ask the Secretary of State for Scotland which companies presently receive tariff rebate subsidy ; what is the extent of tariff rebate subsidy for each shipping operator; what are the current guidelines for receiving the subsidy ; and if he will make a statement.

Lord James Douglas-Hamilton

The companies currently operating within the tariff rebate subsidy scheme are as listed. Each company's TRS allocation is based on the company's estimates of traffic to be carried during the year concerned as well as on previous years' actual traffic carried as compared with forecasts. Individual shipping operators' claims are monitored monthly against the TRS resources available. Individual bulk shipping operators' allocations are treated as being commercial confidential. In 1993–94 provision of £3.130 million is being made available for bulk shipping services and £6.768 million for P and O Scottish Ferries Ltd., giving a total TRS provision of £9.898 million. The TRS scheme operates on the basis of providing for reduction in shipping operators' normal commercial tariffs. The shipping operator determines tariffs on a normal commercial basis for the carriage of particular cargoes, and, if the cargo and the destination are eligible for subsidy under the scheme, the operator reduces the commercial tariff by a percentage decided by the Scottish Office. The Scottish Office pays subsidy to the shipping operator to compensate for tariff reductions. Before becoming eligible for assistance under the tariff rebate subsidy scheme a shipping operator is required to enter into an undertaking with the Secretary of State for Scotland to provide approved shipping services within the highlands and islands area.

Companies operating within the TRS scheme:

  • P & O Scottish Ferries
  • Orcargo
  • Orkney Line Ltd
  • Shetland Line Ltd
  • Dennison (Shipping) Ltd
  • Easdale Island Shipping Line
  • Gardner Shipping (Scotland) Ltd
  • Glenlight Shipping Ltd
  • Hay & Company (Lerwick) Ltd
  • Roderick Cunningham (Scalpay) Ltd